Towelling can often look very good, normally I'd say it is stuck down to boards to create the texture but it's probably possibly to buy very large sheets. I'd suggest dyeing to get the main colour and a light dry-brush to bring up the highlights.
Teddy bear fur tends to be longer and needs shaving back with a cheap beard trimmer; also it's normally polyester and can't be dyed (at least not at a hobbyist level) and it can be a bugger to paint.
I think the teddy bear wins on overall look when it's done properly (something I've not quite managed yet) but towelling examples I've seen, and that last photo is a good example, often look very good for less effort ( and less risk of disaster).
There's a few pictures here:
http://thatpurpleworld.blogspot.co.uk/2017/07/loose-ass-summer-2017-day-one.htmlfrom a game some of us did earlier this year that contrasts my teddy bear roll with Purple's towelling terrain boards and for looks I do prefer the latter.